A strata office unit situated on a high floor of Samsung Hub, a renowned Grade A office tower located on Church Street in the Central Business District (CBD), has successfully been sold for a whopping $14.8 million. The unit, covering an area of 3,595 square feet, was recently sold at a remarkable price of $4,117 per square foot (psf) through the efforts of Knight Frank Singapore, who brokered the deal.
This sale price is slightly lower than the guide price of $4,350 psf, or approximately $15.6 million, which was reported by EdgeProp Singapore back in July. The 999-year leasehold commercial development, which comprises 30 storeys, is strategically located within the CBD and is in close proximity to major financial institutions and corporate headquarters. It is also conveniently situated near the Raffles Place MRT Interchange Station (serving the North-South and East-West Lines) and the Telok Ayer MRT Station (serving the Downtown Line).
According to the EdgeProp Buddy, the previous transaction at the building was recorded back on November 17, 2023, when a 2,906 sq ft unit on the 10th floor was sold for $11.4 million, translating to $3,921 psf. Another neighbouring unit with a size of 3,186 sq ft was also sold on the same day, at a similar price of $3,921 psf and a total value of $12.49 million.
Mary Sai, the executive director of capital markets (land and building, international real estate) at Knight Frank Singapore, expressed her satisfaction with the recent transaction, stating that the market seems to be making a comeback to the levels recorded in January 2022, when a 3,875 sq ft unit was sold at $4,155 psf. She also noted that well-located freehold offices are still enjoying strong demand from private wealth groups, investors, and smaller businesses. However, with a limited supply of such spaces, it is becoming increasingly challenging to satisfy buyers’ demand.
The government’s property cooling measures in Singapore are a significant factor to consider when investing in condos. In an effort to regulate the real estate market and discourage speculative purchasing, the Singaporean government has implemented various measures over the years. One such measure is the Additional Buyer’s Stamp Duty, which imposes higher taxes for foreign buyers and those purchasing multiple properties. While these measures may initially affect the profitability of condo investments, they ultimately contribute to the market’s long-term stability, creating a more secure environment for investors. For more information on Singapore projects, visit Singapore Projects.
The first half of 2024 has seen a total of 49 freehold and 999-year strata offices change hands, recording seven more transactions than the 42 recorded in the second half of 2023. In a record-breaking sale this month, the entire sixth floor office at Tong Building along Orchard Road was sold for a whopping $31.33 million, making it the highest-priced strata office transaction at a jaw-dropping $4,562 psf. The significant space, measuring 6,867 sq ft, was acquired by Parkway Hospitals Singapore.